Insurance

Executive bonuses: determination and payment

Article Abstract:

The best way of determining the appropriate amount of remuneration and incentives for company officers is through evaluation of performance. The Hay profile method, whose criteria are knowledge, mental activity and accountability, is one of the most popular methods. Executive bonuses are given in the form of cash or shares of stock. There are also different methods of payment. It may be outright, staggered or deferred for a later date or until the executive retires from the company.

Why discipline is best than emotion while selecting an investment manager or mutual fund is explained. This report was due to small-cap funds. Due to emotion, several executives blurted out in the fiduciary committee who filed these reports. Executives, who were unemotional, investigated the process to value asset allocation.